The spring real estate market came early – setting the stage for a strong year

My, what a year it has been.

Spring is a time of renewal, when we all get to feel that sense of energy and optimism as the days grow longer. That feeling can be especially strong if you're in the midst of making big changes in your life or, like many of us, anticipating the upcoming widespread rollout of vaccines.

For the real estate market in Toronto, it’s been a year of change and strong growth with no clear sign of slowing down. If you are considering selling or buying a home this spring, keep reading for an update on the state of the market in Toronto and surrounding regions - we’re here to help you figure out what it all means.

The Toronto real estate market added even more steam to the start of the year, with home prices reaching another all-time high. GTA Realtors® reported 10,970 sales through TRREB’s MLS® System in February 2021 – a 52.5% increase compared to 7,193 sales reported in February 2020.

Looking at all areas of the GTA combined, the condominium apartment segment led the way with a 64% sales increase compared to last year, with similar rates of increase in the ‘416’ and ‘905’ area codes.

With multiple buyers continuing to compete for available listings, double-digit annual price growth was the norm throughout the GTA, with stronger rates of growth in the suburbs surrounding the City of Toronto. In total, the average selling price was up by 14.9% year-over-year to $1,045,488.

While market conditions were tight throughout the GTA region in February, the detached, semi-detached, and townhouse market segments in suburban areas were the drivers of average price growth, with annual rates of increase above 20% in all three cases. See below for a snapshot of the Toronto and GTA real estate market.

“It’s clear that the historic demand for housing experienced in the second half of last year has carried forward into the first quarter of this year with some similar themes, including the continued popularity of suburban low-rise properties. It’s also evident that the supply of listings is not keeping up with demand, which could present an even larger problem once population growth picks up following widespread vaccinations later this year and into 2022.” - Toronto Regional Real Estate Board President Lisa Patel.

If you have any questions or would like more information on recent home sales in your neighbourhood, don't hesitate to book a consultation today.